The Houston-area housing market recorded its thirteenth consecutive positive month of sales in June, according to the Houston Association of Realtors.
Single-family home sales increased 13.6 percent year over year to 10,638 units sold, the Houston Association of Realtors reported. Total property sales for the month totaled 13,090 -- the greatest volume of all time and saw a 16.9 percent year over year increase. All-in-all, total dollar volume for the month surged 43.8 percent to a record $4.8 billion.
High-end home shopping dominated the market in June. The luxury segment, homes priced at or above $750,000, saw an 136.5 percent increase in sales. Homes priced $500,000-$749,999 saw an 87 percent increase; and homes priced $250,000 -$499,999 saw a 35 percent increase.
The surge in high-dollar home buying pushed pricing to record levels.
Both the average and the median sales price for a single-family home in June increased -- The average sales price rose 23.7 percent to $395,316, and the median sales price jumped 20 percent to $314,500.
Meanwhile, market supply did not keep pace with demand. Single-family home inventory in June 2021 increased to a 1.5-months supply -- the highest supply of homes in 2021 since February. However, year-over-year, the supply is down compared with May 2020′s three-month supply. Months of inventory estimates the number of months it would take to sell all the active home listings on the market today based on the pace of sales over the past year. Comparatively, the nation’s overall housing inventory currently stands at a low 2.5-months supply, according to the latest National Association of Realtors report.
In May, Houston homes spent an average of 29 days on the market, a 28 day decrease from June 2020.
“The Houston housing market is in overdrive right now, and we know anecdotallythat out-of-town investors have contributed to the frenzy,” said HAR Chairman Richard Miranda. “We saw similar investment activity following Hurricane Harvey, and within a few months, the market stabilized. We expect stability to return this time around, so anyone in the market for a home who is frustrated by current market conditions needs to be patient.”